Scottsdale Performance Management Team citylink.ci.scottsdale.az/Toolbox/PerfMgmt

1. How to develop a consistent and intelligent approach to measuring the performance of your department Scottsdale Performance Management Team http://citylink.ci.scottsdale.az.us/Toolbox/PerfMgmt http://www.scottsdaleaz.gov/departments/citymanager/performance

2. Measuring what matters …improving results by integrating objective evidence with decision-making processes “What matters is not finding the perfect indicator, but settling upon a consistent and intelligent method of assessing your output results and then tracking your trajectory with rigor.” “…rigorously assemble evidence – quantitative or qualitative – to track your progress.” Jim Collins. 2005. Good to Great and the Social Sectors.

3. IN SUPPORT OF A GOAL Outcome Model TO ACHIEVE RESULTS TO BENEFIT CUSTOMERS TO DELIVER SERVICES TO CONDUCT ACTIVITIES WE USE RESOURCES

4. IN SUPPORT OF A GOAL Outcome Model (Modified to Include Internal Services) TO ACHIEVE RESULTS Internal Services TO BENEFIT CUSTOMERS Public Services TO DELIVER SERVICES TO CONDUCT ACTIVITIES WE USE RESOURCES TO CONDUCT ACTIVITIES TO DELIVER SERVICES TO PROVIDE RESOURCES

5. TO ENHANCE NEIGHBORHOODS TO ENCOURAGE A CLEAN, SUSTAINABLE ENVIRONMENT FROM EVERY RESIDENT’S CURB OR ALLEY TO COLLECT REFUSE AND RECYCLING DRIVE TO EACH HOUSE TWICE A WEEK DRIVERS AND TRUCKS

6. To “Advance Transportation” To avoid collisions To discourage unreasonable speeds AND ALERT DRIVERS TO POTENTIAL HAZARDS TO KEEP SIGNALS AND SIGNAGE OPERATIONAL TO REPAIR & MAINTAIN SIGNS AND SIGNALS STAFF USE FUNDS AND EQUIPMENT

7. TO ENHANCE NEIGHBORHOODS TO ENCOURAGE A CLEAN, SUSTAINABLE ENVIRONMENT FROM EVERY RESIDENT’S CURB OR ALLEY TO COLLECT REFUSE AND RECYCLING CAN DRIVE TO EACH HOUSE TWICE A WEEK SO THAT DRIVERS AND TRUCKS USE TECHS AND TOOLS TO REPAIR AND MAINTAIN VEHICLES TO KEEP THEM OPERATING EFFECTIVELY

8. TO ENHANCE NEIGHBORHOODS AND PROMOTE SELF-SUFFICIENCY AND SUPPORT INDEPENDENT LIVING TO AVOID EVICTION, FORECLOSURE AND UTILITY TERMINATION TO CONNECT THEM WITH EMERGENCY ASSISTANCE AND OTHER RESOURCES MEET WITH CLIENTS SOCIAL WORKERS

9. TO ENHANCE NEIGHBORHOODS TO IMPROVE OVERALL HEALTH AND WELLNESS TO INTRODUCE KIDS TO ORGANIZED PHYSICAL ACTIVITY TO OFFER SOCCER FOR KIDS TO PLAN & HOST PRACTICES & GAMES WE USE STAFF AND MOWERS TO MOW AND FERTILIZE FIELDS SO FIELDS ARE SAFE & WELL-MAINTAINED WE USE STAFF, FUNDING AND FIELDS

10. Types of performance measures Input Amount of resources used (or available) to provide services Output Amount of work produced or services delivered Outcome The desired end result that demonstrates the impact of the services delivered Efficiency Amount of work done per amount of resources used Effectiveness Amount of achieved results, or the level of quality relative to the amount of work done Indicators Describe the environment in which the service is provided Productivity Amount of quality work done per amount of resources used Conditions External requirements or demands that impact service delivery Cost-Effectiveness Amount of outcome achieved per amount of resources used

11. Solid Waste Example Input Equipment Operators Output Tons collected per month Outcome Refuse is collected in a reliable and clean manner Efficiency Tons collected per month per operator Effectiveness Tons collected per month without complaints of missed or messy collection Indicators Number of households Productivity Tons of complaint-free collection per operator Conditions State law requiring twice per week pick-up Cost-Effectiveness Cost to provide residential refuse collection services per operator

12. Street Operations Example Input Staff Output Signals Repaired Outcome Signs and signals function correctly and are in good working order Efficiency Repairs per staff member Effectiveness Proactive repairs as a percent of total repairs or Hours signals are out of service Indicators Number of Signals Productivity Proactive repairs per staff member Conditions MUTCD Requirements Cost-Effectiveness Operating and maintenance cost per signal

13. Fleet Maintenance Example Input Technician Hours Output Vehicle Repairs Outcome Timely and complete vehicle repairs Efficiency Repairs per Technician Hour Effectiveness % of vehicles repaired within 1 day; % of vehicles still working properly 6 months after repair Indicators Number of Vehicles Productivity Time per properly repaired vehicle per technician Conditions ADEQ Requirements Cost-Effectiveness Operation and Maintenance Cost per Vehicle

14. Human Services Example Input Staff (FTEs) Output Hours of Meetings with Clients Outcome Clients are self-sufficient and living independently Efficiency Hours of Meetings with Eligible Clients per FTE Effectiveness Number of clients reporting improved financial condition Indicators Population at Low-Income Levels Productivity Clients reporting improved financial condition per FTE Conditions DES Requirements Cost-Effectiveness Per Client cost to provide case management services

15. Parks and Recreation Example Input Staff, Fields, Instructors, $$$, Contract Hours Output # of Classes # of Participants Outcome Kids participate in organized physical activity and improve their health and wellness Efficiency Cost per class; Cost per participants Participants per instructor Effectiveness % willing to participate again; % rating excellent or good; Seats filled vs. seats available Indicators Total number of residents in target age group Productivity Direct instruction as a % of total program hours; Hours utilized vs. hours available Conditions Liability insurance; CPS reporting; Classes offered by others Cost-Effectiveness Cost to provide class vs. cost charged to customer; Cost per filled seat

16. Don’t settle for easy measures “Never give up on an important goal that’s hard to measure in favor of a less important one that’s easy to measure.” • From Robert Lewis. 2009. “No metrics? Don’t fret; you can still manage without measuring.” Minneapolis St. Paul Business Journal.

17. “Evidence suggests that improved performance occurs at a much greater rate when performance measures are compared.” Smith and Hartung, 2004 Targets express a specific level of performance the organization is aiming to achieve. Standards (also called “benchmarks”) express the minimum acceptable level of performance that is expected and achieved by other, high-performing organizations. How else will you know how well you are doing without context?

18. Why measure? If You Don't Measure Results, You Can't Tell Success from Failure If You Can’t See Success, You Can’t Reward It If You Can’t Reward Success, You’re Probably Rewarding Failure If You Can't See Success, You Can't Learn From It If You Can't Recognize Failure, You Can't Correct It If You Can Demonstrate Results, You Can Win Public Support • David Osborne and Ted Gaebler. 1992. Reinventing Government: How the Entrepreneurial Spirit Is Transforming the Public Sector.

19. Moneyball (2011) “People… operate with beliefs and biases. To the extent you can eliminate both and replace them with data, you gain a clear advantage.” Michael Lewis | Moneyball: The Art of Winning an Unfair Game

20. Today’s Goal: develop a consistent and intelligent method to measuring performance in your department and identify a set of initial measures to track efficiency and effectiveness of your department

21. How to develop a consistent and intelligent approach to performance measurement in your department • 1. What do you do? Describing your purpose • 2. Why do you do it? Identifying outcomes • 3. How do you do it? Counting inputs and outputs • 4. How well do you do it? Measuring efficiency & effectiveness • 5. Can you explain it to others?

22. Review the description of your area Does this accurately respond to the question - Why does your department exist?

23. Discussion: What strategic goal(s) do you help achieve? Why? Preserve Meaningful Open Space Value Scottsdale’s Unique Lifestyle and Character Support Economic Vitality Seek Sustainability Enhance Neighborhoods Advance Transportation Guiding Principles from CityShape 2020 and 2001 General Plan

24. Who are your customers? Write down one customer that you serve A customer is an actual or potential user of your organization’s products, programs or services. Can be direct, or indirect

25. What desired results are you trying to achieve? Write down a desired result (outcome) that your organization is striving to achieve from the perspective of each customer. Desired results describe the ultimate benefit to your customers from the work you do

26. What services do you provide? These are the significant services your department provides, as listed in the budget book.

27. What are your top priority services? Consider these questions in selecting your top three priority services Which service benefits the most customers? Which service can only be received from your organization? Which service uses the most resources ($$$, time, staff)? Which service is most closely identified with your organizational unit?

28. What external indicators or conditions impact how you provide services? Includes such things as: Legal requirements Government regulations Number and types of customers/calls for service What external requirements or demands impact what you do and why you do it?

29. Developing measures What resources (inputs) do you have available? What activities (outputs) do you perform? Thinking about your outcomes, which activities most impact your outcome?

30. Efficiency / Effectiveness How can you best measure the efficiency of your area? How can you best measure the effectiveness of your area? Thinking back to your description, which combinations of measures lead to the best overall snapshot of performance in your area?

31. Some ways to measure effectiveness

33. Does this make sense to others? Review your proposed measures through three filters to determine it’s a consistent and intelligent approach. 1. From your customers perspective 2. From the organization’s perspective (management and employees)3. From the City Council’s perspectiveIs this relevant, understandable and complete? If not, what changes are needed?

34. 1. Review services to ensure they are linked to the strategic and/or general plan goals, and make adjustments as needed What are we asking you to do? 2. Review existing measures to ensure you are measuring the efficiency, effectiveness, and cost-effectiveness of services and create new measures, if needed 3. Identify standards and targets for each measure to ensure that you have context for evaluating success 4. When measures do not meet identified targets or standards, develop objectives, initiatives and measures to improve performance

35. Questions, Comments,Observations? Scottsdale Performance Management Team http://citylink.ci.scottsdale.az.us/Toolbox/PerfMgmt http://www.scottsdaleaz.gov/departments/citymanager/performance